Written by 6:27 am Cryptocurrency

Binance, FTX make bids for bankrupt cryptocurrency lender Voyager

Crypto exchanges Binance and FTX have come up with the leading bids for assets of bankrupt crypto lender Voyager Digital, the Wall Street Journal reported on Tuesday, citing people familiar with the matter. Binance’s bid is about $50 million, slightly higher than the competing bid from FTX, the report said. 

Both Binance and FTX have been relatively unscathed by the crypto winter, even as companies like Coinbase Global Inc and BlockFi have been forced to slash their headcount and cut costs.

Binance, FTX and Voyager did not immediately respond to Reuters’ requests for comment.

Crypto lenders such as Voyager boomed during the COVID-19 pandemic, luring depositors with high interest rates and easy access to loans rarely offered by traditional banks. But the slump in crypto markets has hurt crypto companies and investors. In July, Singapore-based crypto hedge fund Three Arrows Capital also filed for bankruptcy.

Earlier this year, Voyager spurned a bailout proposal from Sam Bankman-Fried’s FTX as a “low-ball bid dressed up as a white knight rescue” and alleged the plan would disrupt its bankruptcy process.

(With insights from Reuters)

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